uts.edu.au AGENDA Audit Result Terminology Clarification Standard Operating Procedures (SOP) for the procurement processes. Procurement Thresholds. Exemption Thresholds Exemption Approval Managing Flow-On Work Chief Financial Officer (CFO) review Use of non-staff members in a tender process Procurement Flow Chart UTS The. The The…
uts.edu.au Terminology Clarification Project Control Group (PCG): When procurement activity is directly related to the scope of the PCG, the PCG can assume the review role of the PSC eg. Broadway Building Note: An alternate Steering Committee may be formed if the project requires specific knowledge or experience or the project is highly sensitive. Eg. VC search Procurement Steering Committee (PSC): Responsible for tenders > $250,000. As per the SOP, approves all procurement plan and recommendation documents. Ensures sourcing activity is consistent with policy and associated SOP. The review role of this Committee can be replaced by an existing Project Control Group. The PSC will review the majority of procurement projects.
uts.edu.au Terminology Clarification Project teams or working groups: Has at least three members, and are responsible for completing all phases of a tender project, including research, stakeholder engagement, strategy development, approaching the market, evaluations, negotiations, contract development, communications and implementation. Are required to keep all information confidential & must declare any conflicts. Subject Matter Experts can be engaged when necessary but such experts provide advice only & do not score. Value of procurement activity: The value of a supply arrangement over its entire term. Includes all contract extension options and potential flow-on work. Where a supply agreement will not provide a commitment to expend funds (for example, a Standing Offer Agreement), the expected expenditure level under the agreement should be used. For lower value goods/services, where an agreement is not required, it means the value of a one-off purchase order or the cumulative value of purchases through a supplier over a 12-month period. Where the exact value is unknown, the best estimate is made for the term of the procurement.
Standard Operating Procedures (SOP) for the procurement processes Through the introduction of Standard Operating Procedures (SOPs), UTS aims to ensure consistency and transparency in the selection of suppliers, because: UTS is accountable for the expenditure of public funds. The selection and appointment of providers must be transparent and professional. Standard are verifiable by external third party audit, if required. Additional SOPs may be introduced from time to time to accommodate the requirements of specific procurement categories. The UTS Procurement website maintains an up-to-date list of all procurement-related SOPs, procedural guides, templates and forms relevant to this Policy.UTS Procurement website
This table shows the SOPs which aid adherence to the policy
uts.edu.au Exemption Thresholds Goods and ServicesCapital Works Approval
uts.edu.au Exemption Approval Single source supplier: o Clear and beyond doubt. o Documented recent market testing to support conclusion. o For example, unique items such as art works. Direct negotiation: o Legitimate reason to negotiate with single supplier. o For example, a provider made the best offer from a poor response to the competitive process. Adopt an external contract: o NSW or Commonwealth Government contract. o Another Australian University or University Consortia contract. Select tender: o A special reason is required to invite a select number of suppliers. o For example, niche markets where there are limited providers. Emergencies: o Used when there is an emergency.
uts.edu.au Managing Flow-On Work A supplier’s engagement may result in the need for further related flow-on work. Flow-on work is new work, directly related to the initial engagement and not anticipated in the initial scope of work. Staff must use best endeavours to anticipate the potential for flow-on work prior to seeking initial quotes/tenders. The total value of further engagements is not to exceed the lesser of: o 50% of the total cost of the initial engagement o $20,000 excluding GST. Authorisation is sought via a Procurement Policy exemption form where:Procurement Policy exemption form o The limit is exceeded. o There is sufficient justification to retain the initial supplier.
uts.edu.au Chief Financial Officer (CFO) review The CFO will first review procurement activity exceeding $100,000. The CFO precedes the Senior Executive, Finance Committee or UTS Council approvals. Prior to awarding any contract, the CFO must approve: o The Procurement Plan document prior to release of any tender.Procurement Plan document o The Recommendation document prior to awarding any contractRecommendation document
Use of non-staff members in a tender process Special needs involving a non-employee in a tender process, must meet the following requirements: o Sign an agreement adapted by Legal to outline their obligations, including: Abide by UTS policies and directives including the relevant procurement SOP’s. Sign the UTS Conflict of Interest and Confidentiality Declaration.UTS Conflict of Interest and Confidentiality Declaration Ensure probity is not compromised and comply with the Conduct and Practice for Procurement codes. o May not: Exceed 30% of the tender evaluation voting power. Act in the capacity of project leader (officially or unofficially). Develop tender documentation other than to provide input into the specifications. Communicate with potential suppliers unless invited by the Project Leader. o Non-employee analysis on behalf of the project team during the evaluation stage, should: Be critically reviewed, especially during the evaluation phase. See team members score proposals based on their own judgment, an essential point. Not unduly influence the opinion of the project team members.
CONTACTUS. WHERE WE ARE & HOW TO CONTACT US STRATEGICPROCUREMENT A OFFICE OF THE FINANCIAL SERVICES UNIT We are located on Level 6 Building 10, Broadway Financial Services Unit THE MAP GOTO GOOGLE MAP www.fsu.uts.edu.au/procurement OUR WEBSITE E-MAIL ADDRESS email@example.com
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